"Hiring an unlicensed contractor could cost you big," according to home services website Angi. "If the work does not meet local building codes, or the contractor doesn't pull the necessary permits (which an unlicensed contractor cannot do), you will be responsible for making the repairs to meet code. Allowing work to be done by an unlicensed contractor could also void your homeowner's insurance policy, should a claim arise as a result of that work."